By Chris Bulkey, principal analyst at Technology Research GroupClarification from author: Last September, FASB approved Apple's request to change the way it accounts for iPhone sales. We addressed the accounting change in our F1Q10 earnings assessment titled "Disclosure and Transparency the Real Issues." The earnings press release disclosed the accounting change, but did not specifically quantify financial impact as it pertained to expectations for the quarter. Because the change was detailed in our F1Q10 assessment, we did not rehash the issue in this latest report. Comments on the year on year reduction in revenue deferrals were meant to call attention to the fact that Apple is now working with less "backlog" as a result of new accounting policies. NEW YORK ( TheStreet) -- Apple ( AAPL) reported revenue and earnings of $13.5 billion and $3.33 per share for the second quarter of fiscal 2010 (TRG estimates: $12.02 billion and $2.44 per share). On the surface this looks like a blowout quarter. Top and bottom-line growth totaled 49% and 86%, both well ahead of expectations. A look behind the numbers suggests otherwise. Aggressive earnings management comes as no surprise. As noted in previous reports, accounting concerns emerged in fiscal 2009 and accelerated in F1Q10. What does surprise us is the fact that smart money does not appear to be seeing through the trickery. Shares are up sharply in initial after hours trading - misguided bullishness in our view.